HOBART | Silverstone Crossing, a long-stagnant commercial development, is slated for a future auction sale, a lawyer for one of the property owners said.
"Essentially, we're waiting for the receiver to schedule the auction," attorney Rhett Tauber said.
Tauber serves as the attorney for developer David Lasco. Lasco is one three members of the investment group knowns as B-3 Properties, owners of Silverstone Crossings.
Silverstone Crossings, which has yet to be developed, is east of Mississippi Street and north of U.S. 30.
The B-3 Properties investors also include Robert Stiglich and Suheil Nammari.
Tauber said the 200 acres owned by B-3 Properties has been scheduled for an auction sale following a court order issued in early November.
"No auction has been scheduled, but I'm assuming it will be in January," Tauber said.
The auction will be handled by receiver Ken Manning, Tauber said. A few months ago, the investment group had received an offer to buy the property from General Properties out of Illinois, he said.
"It was a signed offer, but there was no earnest money so it was a breach of an agreement," Tauber said.
The court subsequently entered the order that the property be sold in an auction sale, Tauber said.
The investment group B-3 Properties, Silverstone Crossing's owner, on March 9 filed an application through U.S. Bankruptcy Court in Hammond for authority to sell 200 acres of the property for $8 million.
That deal was never completed, Tauber said.
B-3 Properties' application to sell came to the attention of Hobart officials, who in late March agreed to hire a special attorney to handle the city's interests in the matter. Kenneth Chigges, an attorney for Ice Miller LLP, of Indianapolis, was hired at a $305 an hour.
Hiring Chigges apparently paid off, City Attorney Anthony DeBonis said.
Any new owner of land in the development will be bound to honor the city's rights and interests under the development agreement or performance mortgage, DeBonis said.
DeBonis said he's pleased to learn the property will be sold in an auction.
"This is in the city's interest to get a qualified developer to move the project forward," DeBonis said.
Stiglich, who has served as a spokesman for the Silverstone investors at city meetings, also owns an additional 30 acres, which is part of Diamond Veil Development.
Stiglich could not be reached for comment.
Although nothing has been built at the site, Stiglich has discussed a number of possibilities at previous Plan Commission meetings.
Those potential projects included a luxury hotel, a convention center and connected sports domes.